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CCTV Script 03/04/14

— This is the script of CNBC's news report for China's CCTV on April 3, Thursday.

Welcome to the CNBC Business Daily.

The European Central Bank's decision is out later today.

The central bank is widely expected to keep rates on hold at 0.25%.

That's despite concerns that low inflation in the Euro Zone could weigh on economic recovery.

IMF Chief Christine Lagarde is calling on the ECB to consider unconventional easing measures to avoid falling into a deflationary trap.

Inflation in the euro zone slipped to a five year low of 0.5% in March.

So the big question remains... What will Europe do?

Here's what some of our analysts are expecting from the meeting.

[Andrew Scott, Professor of Economics & Deputy Dean at London Business School] "Well I hope they'll act, but I don't think they will. I think they're not quite sure if things are bad enough for them to hit a more dramatic button of non-conventional monetary policy. The trouble is, the situation isn't that bad. Right now, if you get into sustained deflation, then you'd want to hit that button. But at the moment, I think they're hoping that the relative anemic recovery we've been seeing in the last 6 months is enough to bring inflation around going forward."

[Jeffrey Halley, Senior Manager, FX Trading at Saxo Capital Markets] "It's much like the Fed speak. Whenever they make a statement, it's an analysis paralysis. The entire world is looking at every single word in the statement and grabbing some meaning from it. And I think what we'll see from Mr Draghi this afternoon is much the same thing. 10:34:07 We don't think the ECB is going to move at all this time. We think they're going to keep on waiting. But we do feel that they will have to do some sort of quantitative easing later part of the year. So the market will be looking for any hints of that. And if they see nothing, it'll send the Euro higher and if we see something, then we'll probably see the Euro down 200 points."

[Tom Rogers, Senior Economic adviser to the Ernst & Young Eurozone Forecast, Ernst & Young] "One of the things we've talked about with regards to the ECB is just how sluggish they've been in responding not just to the issue of deflation, but in general throughout the economic crisis, in general responding to the financial markets turbulence we've had in 2011, 2012. The ECB has generally been behind the curve in the past few years in dealing with the problems it faces within the Eurozone and I don't think that's necessarily any different right now."

And that wraps up this edition of the Business Daily.

I'm Sri Jegarajah, reporting from CNBC's Asian headquarters.

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